Professional Documents
Culture Documents
Political Economy of Communication
Political Economy of Communication
Janet Wasko
University of Oregon
Abstract Keywords
This discussion presents a brief overview of the establishment and expansion of the political economy
study of the political economy of media and communications, followed by atten- marketization
tion to some of current directions of this approach. Themes and concepts developed Marxist theory
by political economists of the media are reviewed, as well as internal and external digital capitalism
critiques of the approach. Recent developments are discussed, including the growth concentration
of integrated studies, the return to classic Marxist themes, integration of digital tech- commodification
nologies, and attention to policy and activism.
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1. PEM will be used here All of this is not surprising in light of developments in media and commu-
to signify various
approaches for the
nications worldwide that demand the kind of analysis offered by a political
study of media, economic perspective. Despite enhanced opportunities for communication
communication and offered by new media technologies, the media world is still often character-
information that draw
on the theories and ized by corporatization, commercialization, commodification and concentra-
methods utilized in tion. Thus, an analysis of these developments is an important (and, I would
the study of critical argue, necessary) context for understanding the meanings and impact of
political economy.
media products.
This discussion will present a brief overview of the establishment and
expansion of the study of the political economy of media and communications
(PEM1), followed by attention to some of current directions of this approach.
PEM foundations
The study of the PEM certainly did not begin in the twenty-first century, but
emerged with the evolution of mass media in the twentieth century with roots
in the work of classic political economists of the eighteenth and nineteenth
centuries. Most often, those working within a political economic approach in
media and communication studies have adopted a Marxist/neo-Marxist theo-
retical framework and thus a critical perspective. However, the classic politi-
cal economists, such as Adam Smith, David Ricardo and others, set the stage
for the study of economic issues and grounded their work in social theory.
Classical political economy evolved as capitalism evolved, adding Karl Marx
and Frederick Engels’s historical materialism and class analysis in the nine-
teenth century, which offered a radical critique of the evolving capitalist
system through moral opposition to the unjust characteristics of that system.
Other ideas and concepts have contributed over the years, including argu-
ments from the Frankfurt School and other critical theorists.
Although neoclassical economics prevails today, a radical, critical or
Marxian political economy continues to grow, especially in the study of media.
Briefly, the primary concern of critical political economists is with the alloca-
tion of resources within capitalist societies. Through studies of ownership and
control, political economists document and analyse relations of power, class
systems and other structural inequalities. Critical political economists analyse
contradictions and suggest strategies for resistance and intervention using
methods drawn from history, economics, sociology and political science.
The academic study of communication has not always embraced economic
analysis, much less a political economic approach. During the 1940s and
1950s, US communication scholars focused primarily on individual effects and
psychologically oriented research, with little concern for the economic context
in which media are produced, distributed and consumed. PEM emerged as
a distinct approach in the 1950s and early 1960s, when Dallas Smythe and
Herbert Schiller focused their research and teaching around the political
economy of communication. They were influenced by institutional economics,
but inspired as well as by the general political and economic developments of
the period. In the 1970s, PEM was explicitly addressed in the work of Graham
Murdock, Peter Golding, Nicholas Garnham and Armand Mattelart. In the
midst of increasing interest in cultural studies, Murdock and Golding insisted
that, ‘The mass media are first and foremost industrial and commercial organ-
izations which produce and distribute commodities’ (1974: 205–06). Thus,
PEM is fundamentally interested in studying communication and media as
commodities produced by capitalist industries. Meanwhile, Mattelart outlined
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The study of the political economy …
Expansion of PEM
Studying the political economy of communications is no longer a marginal
approach to media and communication studies in many parts of the world.
For instance, the Political Economy Section of the International Association
for Media and Communication Research (IAMCR) has grown dramatically
over the last decade or so, attracting numerous scholars from all over the
world. Increasingly, this approach is crucial to understanding the growth and
global expansion of media and information industries. As noted previously,
more researchers have turned to this perspective as a necessary and logical
way to study these developments.
However, it is certainly not the case, as argued by some mainstream
researchers, that PEM is narrowly interested in media ownership; nor is PEM
research primarily focused on journalism, as claimed by other media research-
ers. Indeed, a wide range of themes pertaining to media and communication
have been addressed by PEM scholars, as well as analyses of various forms of
media, communication, culture and information. And as new scholars direct
their attention to studying PEM, an even broader range of issues and themes
have emerged. Some of the general themes that are fundamental to this
approach are offered here, with a sample of research that exemplifies these
themes.
General themes
It is clear that the general process of marketization has moved rapidly around
the world during the last few decades. Communication and information have
become key components of this marketization process but have also devel-
oped as significant industries. In many countries, public media institutions
have been privatized, along with other public institutions, opening additional
markets for growing transnational media and entertainment conglomerates. In
addition, new communication and information systems, such as the Internet,
are developing as commercialized space, contrary to promises of public access
and control. This commercialization process – including the growth of adver-
tising and public relations – has been accompanied by an ever-expanding
consumer culture, thus prompting the term ‘cultural capitalism’ as a descrip-
tor for the current period (see Murdock and Wasko 2007).
A good deal of PEM research has focused on the evolution of mass
communications/media as commodities that are produced and distributed by
profit-seeking organizations in capitalist industries, or in other words, media
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as business. The trends that Murdock and Golding identified in 1974 have
expanded and intensified, not only within traditional media industries but
also across industrial divisions into newly converged businesses. Analysis of
media as business has involved various concepts, including but not limited to
the following:
Commodification/commercialization. Increasingly, media and communica-
tion resources have become commodities – products and services that are
sold by profit-seeking companies to buyers or consumers. In addition, more
and more of the media landscape is filled with commercial messages and the
privatization of media outlets continues.
Diversification/synergy. As media companies have expanded, new lines of
business have been added in a process of diversification. While media indus-
tries often begin with a relatively large number of differentiated companies,
these industries today are typically dominated by huge media-entertainment
conglomerates that are involved in a wide range of diversified activities. There
is also the potential for the various businesses owned by these large diversi-
fied conglomerates to work together to more effectively market products, thus
producing a synergy that maximizes profits and decreases risk.
Horizontal/vertical integration. As media corporations have grown larger
and more profitable, they often have added companies that are in the same
line of business, thus integrating horizontally. Not only have such companies
expanded their range of businesses, but with new distribution technologies and
deregulated markets, media companies have integrated vertically by adding
companies in the same supply chain or at different stages of production.
Concentration. Of course, one of the major issues pertaining to the media
business is the level of competition in various markets. While a competitive
market is the avowed goal of capitalism, there is an inevitable tendency for
markets to become concentrated, due to any number of factors (as identified
by Murdock and Golding (1974), and elsewhere). This is especially significant
for media markets, where the provision of news and public information is vital
for informed citizenship and where the provision of diversified entertainment
can facilitate cultural and personal development. It is obvious that in many
situations (such as in the United States or in the global market for blockbuster
films), a handful of conglomerates dominate the media landscape. By docu-
menting the actual level of competition (or lack of competition), PEM chal-
lenges the myth of the competitive marketplace under late capitalism. Political
economists also are keenly interested in the consequences of such media
concentration. For example, much attention has been focused on the influence
of concentration on the availability and quality of news, as well as the ‘block-
buster complex’ and the homogenization of content in cultural industries.
Political economists of communications have investigated these trends
through theoretical discussions as well as at various levels of analysis with
studies of specific commodities, individual corporations and media industries,
as well as national and global media systems. Political economists in parts of
the world other than North America and Europe have also explored differ-
ent regional dynamics. In addition, PEM has concentrated special attention
to issues relating to international communication, transnationalization and
(more recently) globalization.
Again, there is a wide range of political economic studies related to media,
communications and information. Not every study is devoted to document-
ing media concentration or ownership, as some outside the approach have
claimed. A few of those areas are briefly mentioned here.
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The study of the political economy …
Historical studies
Most PEM research incorporates historical analysis, for it is essential to docu-
ment change as well as continuity. Certainly, tendencies and trends have been
observed across media, but also many notable historical studies have traced
the development of specific media. Some examples would include Duboff’s
(1984) historical analysis of the telegraph, Becker’s (1993) work on the tele-
phone, Dan Schiller’s examination of the infrastructure of cellular telephony
(2007), and Winseck and Pike’s (2007) research on the rise of global media.
Historical work on the film industry has included Guback’s (1969) research on
the international film industry and Pendakur’s (1990) work on the historical
dominance of the US film industry in Canada.
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The study of the political economy …
Integrated studies
The tension between different critical approaches discussed above would
seem to be less of a problem these days based on the increasing number of
studies that actually succeed in integrating various critical approaches. Many
scholars working in cultural studies, international communications, feminism,
race-ethnic studies and other forms of social research have produced work
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that integrates these perspectives with PEM. In other words, they embrace
a political economic perspective as only one of the lenses they use to under-
stand media. This outpouring of research and its recognition of structuration
and agency – whether individual, collective, corporate or institutional – have
been ongoing for decades. For many contextual scholars, the conceptual or
methodological divisions between or among political economy, cultural stud-
ies and social research have essentially collapsed, yielding scholarship that
synthesizes these areas.
A few studies have combined political economy with other approaches
to examine a particular media phenomenon holistically. An excellent earlier
example is Gripsrud’s (1995) study of Dynasty, which traces the programme’s
production context, discusses its textual elements, as well as examining its
distribution and reception. In my own work on the Walt Disney Company,
the history and political economy of the company is presented, along with
various readings of Disney’s texts and people’s reception of and resistance
to Disney products (Wasko 2001). Increasingly, scholars are successfully inte-
grating political economy and cultural studies to achieve more complete and
nuanced analyses. Examples include Babe (2010), Kapur (2005) and Maxwell
(2001).
The integration of feminism and political economy is well represented in
Meehan and Riordan (2002), in which contributors examined media repre-
sentations, consumer practices and commoditization. Byerly and Ross’s (2006)
collection considers how gender is implicated in media industries, among
other issues. Meanwhile, Stabile’s (2006) study of gender, race and crime
news combines historiography with textual, class and industrial analysis.
Collaborative research projects have also brought together researchers
from different critical approaches and often from different national settings.
For example, in the Global Disney Audiences Project, an international group
of researchers using various critical approaches and multiple methodolo-
gies documented people’s experiences of Disney’s products and penetra-
tion into local economies (Wasko et al. 2001). Another example of a project
that addressed the commonalities and tensions between political economy
and audience analysis was the Lord of the Rings Project, which examined the
distribution of the film as well as fans’ reactions (Barker and Mathijs 2007).
Meanwhile, Biltereyst and Meers (2011) have recently made important contri-
butions to the integration of political economy and audience research.
Most often, these integrated approaches maintain the essence of politi-
cal economy, in that the research examines the relationships of power that
are involved in the production, distribution and consumption of media and
communication resources within a wider social context. PEM still privileges
issues relating to class power, not to the exclusion of other relationships,
however, and emphasizes the complex and contradictory nature of such rela-
tionships. Most important, PEM challenges media and communication devel-
opment that undermines equitable and democratic societies.
Back to basics
Another interesting development within PEM is the return to classic themes
and concepts to explain the evolution of media and communications. One
of the concepts that has been revived is the idea of the commons – defined
by Wikipedia as ‘… cultural and natural resources accessible to all
members of a society, including natural materials such as air, water,
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The study of the political economy …
The digital
Special attention has also been devoted to the evolution of digital technol-
ogy, with political economists examining a range of issues. Digital labour has
been analysed in a number of studies (e.g. Fuchs 2014), and is the focus of
a recent special issue of tripleC: Communication, Capitalism & Critique. The
issue is entitled, ‘Philosophers of the World Unite! Theorising Digital Labour
and Virtual Work – Definitions, Dimensions and Forms’, in which the editors
explain that it ‘… aims to contribute to building a theoretical framework
for the critical analysis of digital labour, virtual work, and related concepts
that can initiate further debates, inform empirical studies, and inspire social
struggles connected to work and labour in and beyond digital capitalism’.
Meanwhile, big data and cloud technology have been studied by Mosco
(2014), while Burkart (2014) has recently analysed the policies and politics
surrounding digitization. Important historical perspectives on the digitiza-
tion process have been offered as well, with reminders that ‘new’ media
technologies often present a good deal of continuity, especially in terms of
corporate involvement, commercialization and commodification. (See, for
instance, Wu [2010] for a historical overview of corporate intervention in
new media development.)
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Conclusion
The study of political economy of the media and communications continues to
grow and evolve. Again, this is not so surprising given the growing importance
of the media and its industrial development within an expanding interna-
tional market system. Developments during the last decade need to be viewed
historically, a fundamental starting point for PEM. In other words, a careful
analysis of capitalism, its structures, the consequences of those structures and
the contradictions that abound is more than ever relevant and needed, as
the recent reinvigoration of Marxist analysis attests. As Jean Paul Sartre once
said, ‘Marxism remains the philosophy of our time because we have not gone
beyond the circumstances which engendered it’ (1963: 30). A similar argu-
ment could be made for the study of political economy of the media.
References
Babe, R. (2010), Cultural Studies and Political Economy: Toward a New Integration,
Lanham, MD: Lexington.
Barker, M. and Mathijs, E. (eds) (2007), Watching Lord of the Rings, New York:
Peter Lang.
Becerra, M. and Mastrini, G. (2011), ‘Communication economy paths: A
Latin American approach’, in J. Wasko, G. Murdock and H. Sousa (eds),
The Handbook of Political Economy of Communications, Malden, MA: Wiley
Blackwell, pp. 109–26.
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The study of the political economy …
Suggested citation
Wasko, J. (2014), ‘The study of the political economy of the media in the
twenty-first century’, International Journal of Media and Cultural Politics
10: 3, pp. 259–271, doi: 10.1386/macp.10.3.259_1
Contributor details
Janet Wasko is the Knight Chair in Communication Research at University
of Oregon in Eugene, Oregon, USA. She is the author, co-author or editor of
nineteen books, including Understanding Disney: The Manufacture of Fantasy
and How Hollywood Works. Her research and teaching focuses on the political
economy of media, especially the political economy of film, as well as issues
relating to democracy and media. She currently serves as the President of the
International Association for Media and Communication Research.
Contact: School of Journalism and Communication, University of Oregon,
Eugene, Oregon 97403, USA.
E-mail: jwasko@uoregon.edu
Janet Wasko has asserted her right under the Copyright, Designs and Patents
Act, 1988, to be identified as the author of this work in the format that was
submitted to Intellect Ltd.
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